__________________________________________
A message from the Traders News Source editor’s and our featured biotech report available here- https://mailchi.mp/tradersnewssource/small-float-nasdaq-late-stage-clinicals-huge-market-647109?e=[UNIQID]
___________________________________________
The company announced last week, that it has entered into a restructuring support agreement (the “RSA”) with its operating subsidiary Superior Silica Sands LLC (“SSS”) and the Partnership`s other subsidiaries (together with the Partnership and SSS, “Emerge Energy”), its general partner (“Emerge GP”), certain direct and indirect equity holders of Emerge GP, the lenders under Emerge Energy`s revolving credit facility, and the noteholders under Emerge Energy`s second lien note purchase agreement (the noteholders, together with the lenders under the revolving credit facility, the “Consenting Creditors”).
As set forth in the RSA, the parties thereto have agreed to the principal terms of a proposed financial restructuring of Emerge Energy (the “Transaction”), which will be implemented through an out-of-court restructuring or, in the event that the special restructuring committee of the board of directors of Emerge GP (the “Committee”) determines in good faith that the out-of-court restructuring is no longer reasonably possible or in the best interests of Emerge Energy and its stakeholders, an in-court reorganization implemented in one or more cases filed under Title 11 of the United States Code.
Under the out-of-court restructuring, Emerge Energy`s obligations under the revolving credit agreement will be paid in full. Noteholders under the note purchase agreement will receive new second lien secured notes and pro rata ownership interests in new common units representing a 95% limited partner interest in the Partnership. Existing common unitholders of the Partnership will receive new common units.
If it is determined that the out-of-court restructuring is no longer reasonably possible or in the best interests of Emerge Energy and its stakeholders, Emerge Energy will commence the in-court reorganization. Emerge Energy`s obligations under the revolving credit agreement will be paid in full and noteholders under the note purchase agreement will receive new second lien secured notes and pro rata ownership interests in new common units representing 100% limited partner interest in the Partnership; provided that, if and only if the class of holders of general unsecured claims vote to accept the chapter 11 plan, then the Noteholders have agreed to carve-out from their collateral and receipt of 100% of such limited partner interests, a settlement fund to be shared collectively by such holders and the existing equity holders in the Partnership consisting of (i) 5% of the new common units in the Partnership, subject to certain dilution; and (ii) out-of-the-money warrants for 15% of the new common units in the Partnership, subject to certain types of dilution. However, in the event that the class of holders of general unsecured claims vote to reject the chapter 11 plan, then such holders and the existing equity holders in the Partnership shall not receive any distributions or property under the chapter 11 plan.
The RSA will terminate if the Transaction is not consummated in accordance with the RSA by December 31, 2019 (unless extended in writing by the parties) or if the parties otherwise agree in writing. A party may also terminate the RSA upon a material breach by another party of its obligations under the RSA.
About
Emerge Energy Services LP, through its subsidiary, Superior Silica Sands LLC, operates an energy services company in the United States. It engages in mining, producing, and distributing silica sand, which is a primary input for the hydraulic fracturing of oil and natural gas wells. The company serves oilfield services companies, and exploration and production companies that are engaged in hydraulic fracturing. Emerge Energy Services GP, LLC operates as the general partner of the company. Emerge Energy Services LP was founded in 2012 and is headquartered in Fort Worth, Texas.
Stock influences and risk factors
Failure to implement the RAS could result in a bankruptcy filing.
They have a history of losses and may continue to incur losses in the future.
Operations are subject to the cyclical nature of customers’ businesses and depend upon the continued demand for crude oil and natural gas.
Stock chart
Disclaimer
Traders News Source is a wholly owned subsidiary of Traders News Source LLC, herein referred to as TNS LLC.
Traders News Source has not been compensated for this report by anyone and the opinions if any are that of the author Mark Roberts. Author’s Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I, wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in the article.
This web site, published by TNS LLC, and is an investment newsletter that is built on the premise of assisting individual investors in learning about investing. Our goal as publishers of financial information is to provide research and analysis of investments to our subscribers. TNS LLC does not give buy or sell recommendations. We do purchase distribution rights from analyst, financial writers and bloggers for a fee that may be licensed to issue price targets and recommendations. Furthermore, we encourage you to speak to a licensed professional prior to making an investment in any type of publicly traded security.
We do sell advertising to other companies including brokerage firms, web sites, publicly traded issuers, investor relations firms, and investment publications, among others. TNS LLC makes no warranty as to the policies of these organizations, and in no way endorses their offers, services, or the content of their advertisements.
When an advertiser is a publicly traded company or a third party acting on behalf of a public company, we fully disclose all compensation in the email advertisement. Such disclosure is included in a disclosure statement in each of the advertisements sent via email.
17B Disclosure
Our reports/releases are a commercial advertisement and are for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for monetary compensation. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. The disclaimer is to be read and fully understood before using our services, joining our site or our email/blog list as well as any social networking platforms we may use.
PLEASE NOTE WELL: TNS LLC and its employees are not a Registered Investment Advisor, Broker Dealer or a member of any association for other research providers in any jurisdiction whatsoever.
Release of Liability: Through use of this website viewing or using you agree to hold TNS LLC, its operator’s owners and employees harmless and to completely release them from any and all liability due to any and all loss (monetary or otherwise), damage (monetary or otherwise), or injury (monetary or otherwise) that you may incur. The information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of the available data. TNS LLC encourages readers and investors to supplement the information in these reports with independent research and other professional advice. All information on featured companies is provided by the companies profiled, or is available from public sources and TNS LLC makes no representations, warranties or guarantees as to the accuracy or completeness of the disclosure by the profiled companies. None of the materials or advertisements herein constitute offers or solicitations to purchase or sell securities of the companies profiled herein and any decision to invest in any such company or other financial decisions should not be made based upon the information provide herein. Instead TNS LLC strongly urges you conduct a complete and independent investigation of the respective companies and consideration of all pertinent risks. Readers are advised to review SEC periodic reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D.
TNS LLC is compliant with the Can Spam Act of 2003. TNS LLC does not offer such advice or analysis, and TNS LLC further urges you to consult your own independent tax, business, financial and investment advisors. Investing in micro-cap and growth securities is highly speculative and carries an extremely high degree of risk. It is possible that an investor’s investment may be lost or impaired due to the speculative nature of the companies profiled.
The Private Securities Litigation Reform Act of 1995 provides investors a ‘safe harbor’ in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be “forward looking statements”. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as “projects”, “foresee”, “expects”, “will”, “anticipates”, “estimates”, “believes”, “understands”, or that by statements indicating certain actions & quote; “may”, “could”, or “might” occur.
Understand there is no guarantee past performance will be indicative of future results. In preparing this publication, TNS LLC has relied upon information supplied by its customers, publicly available information and press releases which it believes to be reliable; however, such reliability cannot be guaranteed. Investors should not rely on the information contained in this website. Rather, investors should use the information contained in this website as a starting point for doing additional independent research on the featured companies. The advertisements in this website are believed to be reliable, however, TNS LLC and its owners, affiliates, subsidiaries, officers, directors, representatives and agents disclaim any liability as to the completeness or accuracy of the information contained in any advertisement and for any omissions of materials facts from such advertisement. TNS LLC is not responsible for any claims made by the companies advertised herein, nor is TNS LLC responsible for any other promotional firm, its program or its structure.
